In this piece, HENRY FALAIYE explores how artificial intelligence is reshaping the workforce and redefining the future of work, highlighting its key opportunities and challenges
Artificial intelligence is fundamentally altering the workforce, bringing sweeping changes across industries, job functions, and how workplaces operate. With the rise of automation, machine learning, and AI-powered decision-making tools, companies are being pushed to reevaluate how they attract, develop, and manage talent. While AI drives efficiency and innovation, it also raises crucial questions about the displacement of jobs, widening skill gaps, and preserving the human element in a tech-driven work environment.
The future of work will be shaped not just by the advancement of AI technologies but by how effectively organisations integrate these tools with human skills. Companies that embrace AI thoughtfully stand to benefit from increased growth and productivity, while those that fail to adapt risk becoming obsolete.
Human resource professionals and business leaders now play a pivotal role in managing this transition, ensuring AI enhances, rather than replaces, human potential. As AI continues its rapid evolution, the implications for the global and Nigerian workforce are complex, far-reaching, and unprecedented.
Nigeria’s growing AI ecosystem
Nigeria’s AI landscape is gaining momentum, driven by a combination of tech startups, research institutions, and government support.
According to Dr. Oluwaseyi Akinbobola, Director of the Lagos AI Research Institute, the country has seen significant growth in the AI space over the past 18 months, with investments in local AI startups increasing by 43 per cent since early 2023.
Akinbobola said, “What makes the Nigerian AI scene unique is our focus on building AI solutions tailored to African problems instead of merely importing foreign models.”
As of early 2024, the number of AI-focused startups in Nigeria surged to over 80, up from about 35 in 2022. These companies, predominantly based in Lagos, Abuja, and Port Harcourt, have collectively attracted more than $120m in funding—a testament to growing investor confidence in Nigeria’s AI potential.
The rise of AI in the workplace
A 2021 World Economic Forumreport projected that AI and automation could displace 85 million jobs globally by 2025. However, it also forecasted the creation of 97 million new roles, resulting in a net increase in job opportunities. This duality underscores AI’s transformative nature—it is not simply replacing human roles but augmenting and redefining them.
In Nigeria, the Federal Government is actively investing in AI development. The Director-General of the National Information Technology Development Agency, Kashifu Abdullahi, recently disclosed that N3bn (approximately $3.5m) has been allocated to AI research across Nigerian universities for 2024.
“We are working to position Nigeria as Africa’s AI leader by 2030,” he added.
This investment aligns with broader national initiatives. The National Digital Economy Policy and Strategy (2020–2030) and the newly launched National Artificial Intelligence Strategy provide a roadmap for AI adoption across sectors.
Moreover, the establishment of tech innovation hubs in all six geopolitical zones reinforces the government’s commitment to inclusive digital development. These hubs are expected to catalyse AI research and application while upholding global data protection and ethical standards.
A 2022 report by McKinsey Global Institute estimated that AI could add as much as $13 tn to the global economy by 2030. This figure highlights the immense economic potential of AI, even as its rapid adoption forces a reconfiguration of the global labour market.
Job creation and workforce transformation
While concerns about AI-induced job losses are valid, the technology also presents enormous opportunities for job creation and redefinition. According to the IBM Institute for Business Value, about 120 million workers in the world’s 10 largest economies will need to reskill within three years to keep pace with AI and automation.
Healthcare is one of the sectors seeing transformative impacts. AI systems like IBM Watson are being used to support medical professionals in diagnosing diseases, personalising treatment, and predicting health outcomes. Far from replacing doctors, these tools assist in analysing complex data, improving accuracy and enabling more efficient patient care.
In finance, AI technologies facilitate fraud detection, streamline trading, and enhance customer service, thereby generating new roles for data analysts, AI developers, and cybersecurity experts. Manufacturing, too, has been revolutionised with AI-powered robots handling everything from production lines to supply chain logistics, creating demand for machine supervisors, systems engineers, and process analysts.
Also, a talent acquisition manager and HR strategist, Oreoluwa Adedokun, explained that AI is reshaping human resources by automating routine tasks such as resume screening and payroll processing.
However, he cautioned that AI should be seen as a support system, not a substitute for HR professionals.
“The heart of HR lies in its emotional intelligence. Empathy, active listening, and interpersonal connection are irreplaceable,” he stated.
Adedokun called for HR and professionals to embrace AI tools that free up time for more strategic, people-focused initiatives.
Echoing this sentiment, the Group Chief Human Resources Officer of Sterling Financial Holdings, Temi Dalley, said, “At the heart of this transformation lies the fusion of AI and digital transformation—a potent catalyst that promises to revolutionise how we attract, develop, and retain talent. From predictive analytics to personalised learning experiences, from intelligent automation to augmented decision-making, the possibilities are as vast as they are exhilarating.
Yet, through all of this, one thing remains constant: the paramount importance of our people. We need not forget the human element that infuses meaning, purpose, and dignity into every interaction and every decision.
“At the heart of every successful organisation is a diverse group of individuals with their distinct set of skills, passions, and goals. It is our collective responsibility to nurture, empower, and engage this human capital to unlock its full potential and drive organisational success.
Talent managers must remember that these are not merely tools or technologies; they are enablers of human progress,” she said.
Dalley underscored that while AI can drive efficiency and innovation, true organisational success hinges on prioritising the people behind the technology.
By automating routine tasks, it allows workers to focus on creative, complex, and high-value activities, leading to more skilled and fulfilling career opportunities.
According to the 2023 AI Readiness Index, Nigeria ranks third in Africa, behind South Africa and Kenya. While South Africa leads in research output, Nigeria is making rapid gains in practical AI applications. Its vibrant private sector is leading innovation, with a strong push toward mobile AI solutions that address local challenges.
Displacement, inequality, and the human cost
Despite the promise of AI, there are real risks, especially job displacement. Routine and manual labour roles are most vulnerable. Sectors like retail, customer service, and transportation face automation pressures from self-checkout machines, delivery drones, and AI-powered chatbots.
A 2019 Brookings Institution study projected that up to 36 million American workers—nearly a quarter of the workforce—could be displaced by automation by 2030. In Nigeria, similar risks exist, particularly for low-skill workers in manufacturing and informal sectors.
Moreover, the economic burden of AI-driven change is not evenly distributed. Workers with less education or digital literacy are disproportionately affected. A report by the Organisation for Economic Co-operation and Development found that women, younger workers, and individuals with lower education levels are especially vulnerable.
In regions with deep digital divides, AI could worsen socioeconomic inequalities unless deliberate interventions are made. If unaddressed, these disparities could lead to a concentration of wealth and opportunity among a small, tech-savvy elite.
The founder and Group Managing Director of SystemSpecs Holdings, John Obaro, urged professionals to evolve alongside technology.
He emphasised the disruptive yet complementary role of AI and robotics in Nigeria’s human resources sector.
He acknowledged concerns about potential job losses due to automation but advocated for embracing innovation and adaptability.
Obaro asserted that with creativity and a willingness to evolve, AI will serve as a collaborator to human efforts rather than a replacement.
He advised that professionals should proactively acquire skills that integrate automated systems into their workflows, enhancing efficiency and effectiveness.
Obaro warned, “If you ignore robots, they will ignore you,” highlighting the necessity for professionals to stay abreast of technological advancements to remain relevant in the evolving landscape.
Reskilling and education: A national imperative
The path to a sustainable AI-driven future lies in upskilling and education. According to the WEF, more than half of all workers will require significant reskilling by 2025. In response, governments and companies worldwide are ramping up their investment in education and workforce development.
The European Union has launched initiatives like the Digital Skills and Jobs Coalition to address the skills gap. Singapore has adopted national policies emphasising continuous learning and career adaptability. These efforts recognise that without workforce agility, the promise of AI could turn into a social crisis.
In Nigeria, the government is investing in AI education at the tertiary level. But more needs to be done to build digital literacy from the ground up. Vocational training, public-private partnerships, and scalable e-learning platforms are essential to help the current and future workforce transition smoothly.
However, the pace of technological advancement still outstrips the rate at which many workers can adapt. Organisations must share the responsibility by creating accessible learning environments and embedding reskilling into their workplace culture.
Ethics, bias, and the responsibility of AI
Beyond workforce implications, AI raises ethical questions, particularly around fairness and accountability. As AI systems are deployed in hiring, performance evaluation, and even promotions, there is a growing concern about algorithmic bias. When AI is trained on biased data, it can perpetuate or even amplify existing prejudices.
To prevent this, experts call for greater transparency in how AI systems are developed and used. Involving diverse development teams, publishing audit trails, and setting clear ethical guidelines are essential steps toward responsible AI deployment.
There is also the risk of diminishing human autonomy in workplaces where machines increasingly make high-stakes decisions. Maintaining a balance between automation and human judgement is crucial to upholding ethical standards and ensuring that technology serves humanity, not the other way around.
A balanced future: Innovation with inclusion
As AI becomes more entrenched in the workplace, the challenge lies in crafting a balanced future with one that combines technological advancement with human empowerment. The ultimate goal is not to replace human workers but to augment their capabilities and create more meaningful, impactful careers.
The co-founder of Future Africa and former CEO of Flutterwave, Iyinoluwa Aboyeji, noted that he is optimistic about Nigeria’s AI trajectory. “In five years, I see Nigerian AI companies valued at over a billion dollars, especially in fintech, healthcare, and agriculture,” Aboyeji predicted.
According to him, these sectors are already being reshaped by digital transformation and are poised to become frontrunners in AI-led innovation.
For Nigeria to realise this vision, experts stress the need for investment in infrastructure, regulatory clarity, and homegrown talent. Ensuring equitable access to AI’s benefits across rural and urban populations will be vital to building an inclusive digital economy.
Conclusion
The integration of AI into the workforce represents a pivotal moment in history. With the right mix of strategic investment, ethical governance, and people-centred design, AI can be a powerful force for good—driving innovation, productivity, and inclusion.
The future of work is not about choosing between humans and machines—it is about creating synergy between the two. By preparing today, Nigeria and other forward-looking nations can shape a future of work where technology uplifts people, rather than leaving them behind.
